Eagle Bulk Shipping Inc (EGLE)

[Jester_Vandalay]

Soyabeans, corn export premiums steady to firm

Corn and soyabean export premiums at the US Gulf Coast were mostly steady to firm on Friday amid weaker futures and limited available capacity to load export shipments through the end of 2013, traders said. Soyabean futures on the Chicago Board of Trade fell 2.5 percent on softening cash markets and good South American crop weather. Corn slipped as the US government proposed easing ethanol blend requirements.

FOB basis offers were unquoted for November and much of December after heavy forward sales earlier this year for those shipping periods. However, November and December loadings would be available at a hefty premium if a buyer was willing to pay, traders said. US corn prices were competitive on the world market for early 2014 shipments and traditional buyers have been booking their routine purchases to lock in some of the lowest prices in three years.

China will continue buying buy soyabeans and corn for state reserves from farmers this year, a move that is expected to keep domestic prices higher than the global market, triggering more imports. Record-large purchases of US soyabeans by China are on the books. Good growing weather in South America raised the risk that a larger-than-normal share of outstanding sales could be switched to Brazil or Argentina origin beans, traders said. US wheat export premiums at the Gulf Coast held steady in quiet trade.

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